The Queensland Government has announced that six parcels
of land have been released for petroleum and gas exploration
through a non-cash competitive tender.
On 4 April 2014, the Minister for Natural Resources and Mines,
Andrew Cripps, announced that over 16,400 square kilometres of land
in west Queensland has been made available for authorities to
prospect for petroleum and gas. The land comprises approximately
5,160 sub-blocks, with one parcel in the Carpentaria Basin, two in
the Georgina Basin, one in the Cooper-Eromanga Basin and two in the
Minister Cripps said "the land we are releasing has
potential for new discoveries of both conventional and
unconventional petroleum resources, and the area to the west of
Quilpie [could] possibly contain oil resources as well."
In support of the call for tenders, Paul Fennelly, Chief
Operating Officer of the Australian Petroleum Production and
Exploration Association (APPEA) for eastern Australia, reportedly
said the Government's plans would "allow the next
generation of the State's resources to be developed",
adding that "a strong resource exploration sector is the
backbone of the petroleum industry."
NON - CASH TENDERS
There will be no cash bid component to tender applications for
exploration rights over the recently released parcels of land. This
means that the tenements will be competitively allocated after an
assessment of each tenderer's proposed work program, technical
and financial capability, and capacity to meet all relevant
assessment criteria. According to the Department of Natural
Resources and Mines (DNRM), this provides
explorers with "equity in opportunity to access
Non-cash or "work program based" tenders are called
for land of unknown prospectivity to help facilitate continued
interest in greenfields development from the smaller mining
exploration sector. Minister Cripps said that
"Queensland's mining industry will benefit from the
release of under-explored land, considered to be frontier
areas" and "delivers on the Government's election
promise to grow resources as one of the four pillars of the
More information about submitting a tender can be found at the
website. For additional technical information about the
released areas of land, interested parties will need to register as
a "supplier" with
QTenders and download the Specification Documents. Tenders must
be submitted before 4.30pm on Monday, 29 September 2014.
If you would like to know more about exploration in Queensland,
or wish to discuss tendering for exploration tenure, please contact
one of the authors below.
A link to our Investing in the Australian Petroleum
Industry publication, which provides background information in
relation to the Australian oil and gas industry and explores key
legal considerations for investing in, or developing, an oil and
gas project in Australia can be found
The content of this article is intended to provide a general
guide to the subject matter. Specialist advice should be sought
about your specific circumstances.
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It is a common misconception that the grant of mining tenure, whether it be an Exploration Permit, Mineral Development Licence or Mining Lease, will entitle the holder to access all land within it in order to explore or mine.
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